The world of finance is turning to what US President Donald Trump calls “Liberation Day.” This will happen on Wednesday, April 2nd.
This date is marked by the announcement of new import duties in the US in multiple countries. These will be new fees added to those already issued by Trump. Furthermore, on this day, a 25% tax on vehicles entering the country and related parts will come into effect.
Therefore, the day of liberation threatens to intensify the commercial war between the nations. China and Canada respond to the US with taxes on certain products imported. Mexico is also scheduled to publicize retaliation for the tariffs on Thursday, April 3rd. They also pledged from the European Union to take commercial measures.
In this sense, the announcement It could have a major impact on the global market. Both US actions, such as Bitcoin (BTC) and cryptocurrency, are in a period of revision along with the strengthening of the commercial war. Meanwhile, gold, which normally rises to uncertainty, has reached a new record price.
This can be seen on the following price chart:
“We believe April 2 will be the biggest escalation of the commercial war to date,” said the financial news team in Kobeissi’s letter. Therefore, they predict that the market will be moving for a week.
As the following graph shows, the average US tariff rate has already reached around 8%. This number is the highest since 1970, at the level that Kobaisi’s letters are expected to break by the end of April.
meanwhile, The current political uncertainty is greater than the uncertainty of most other crises in modern American history. As the following graph shows, that level is 80% higher than the 2008 financial collapse.
In the midst of this panorama, American consumer sentiment fell 20 points Last month, the minimum age of 57 since 2008.
The aforementioned analyst highlights that this does not happen in a “normal” economy, so in his opinion, it is clear An economic slowdown is beginning. “As a result, the market is shaking and we are waiting for a very unstable week,” he said.
On Wednesday, Trump will also create “External Tax Services,” an agency responsible for the tax system for the operation of foreign companies. According to government advisor Peter Navarro, the government is expected to generate tariffs of US$600 million per year.
The US will be “respectful,” according to the government
Commerce Secretary Howard Lutnick described Wednesday as “the day the rest of the world began treating the United States with respect.” But this is far from enthusiasm for the population It creates economic concerns.
“People didn’t ask for a new global order from them. They wanted them to have a stable economic performance,” said Douglas Holtz Arkhun, a former White House official of the George W. Bush government and the American Forum for Action, founder of the Right-wing Economic Group. “They are trying to do the first thing and the latter will cost you,” he added.
Trump’s tariff policies aim to demonstrate the power of the United States and promote national industry, but they are unleashing the country’s recession and expectations of greater inflation. As a result, risk aversion is increasing with local bags and Bitcoin, which is usually correlated.
“Taxes supply inflation because tariffs cause price increases that are sent in some way to consumers,” explains Kobeissi’s letter. Therefore, we expect to see an increase in national inflation in the second quarter of 2025.
From the government, they argue that the measures are worth a long-term penalty. “Because people start buying cars made in the US.
“The reason we don’t see inflation (in the long term) is because foreigners eat the most. They have to do that. We are the largest market in the world.” Added a US government advisor.
Anyway, beyond government intentions, the tariff war creates tensions in the market. This has been translated into amendments since the historic maximums registered this year by US and Bitcoin actions.
According to Crypto Rover, if taxes are not that strict, BTC could recover
The BTC price remains three days ago with a donation of about USD 82,000 after losing the US$86,000 support it achieved last week. That’s 25% less than the US$109,300 record registered in President Trump’s assumption two months ago.
Therefore, sharpening economic concerns can raise bearish pressures. Therefore, the eyes are on what the president’s message will be.
“If tariffs are worse than expected, the market will take a hit,” warns a trader known as Crypto Rover. however, If they are not as serious as feared, then actions, bitcoin, cryptocurrency will recover.
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